Carrier New At&t no contract phones, please explain

[Fife321]

Can someone explain what the difference is now when buying a new iPhone if AT&T is your carrier? i know the new changes don't take effect until next week, but still trying to understand.

my assumption is you pay for the phone outright from the start. I bought the 6+ 128g back in sept of '14 and paid $499(?), would i pay $949 now if i wanted the same phone? does that make my monthly billing cheaper then? what is the difference from doing this with att then with the new apple plan?

any explanation on both the apple and new att plans for iPhones is appreciated.

 

[Hal~9000]

After the 8th if you bought a 128gb 6+ then you could either:

• Pay full price upfront ($949)
• Use ATT Next to space out the $949 over a certain number of months (24 months is typical, meaning an extra $39.54/mo added to your AT&T bill)

 

[rockitdog]

Its just installment billing like Verizon and the pink network have gone to. I hate it but everyone's doing it. For what it's worth I signed a 2 year deal with AT&T about a week ago.

 

[AJsAWiz]

Can someone explain what the difference is now when buying a new iPhone if AT&T is your carrier? i know the new changes don't take effect until next week, but still trying to understand.

my assumption is you pay for the phone outright from the start. I bought the 6+ 128g back in sept of '14 and paid $499(?), would i pay $949 now if i wanted the same phone? does that make my monthly billing cheaper then? what is the difference from doing this with att then with the new apple plan?

any explanation on both the apple and new att plans for iPhones is appreciated.

You are correct. You can pay full price for the phone or pay in installments with their Next Plan.
In any case you will be paying full price for the phone. No more subsidized pricing.
Glad I was able to get the 2 year contract with subsidized pricing last year.
I'm creating my own Next Plan for my next iPhone. I started paying myself (savings account) in installments and will have the full price when ready to get my "Next" iPhone.

 

[AJsAWiz]

Its just installment billing like Verizon and the pink network have gone to. I hate it but everyone's doing it. For what it's worth I signed a 2 year deal with AT&T about a week ago.

Not me
I won't be "doing it"

 

[Fife321]

so, if i'm paying 180 for 2 lines i'll have to add $40 a month per phone (if i choose to space it out)? or would my monthly bill be reduced (i'm actually grandfathered into an unlimited plan) because i'm no longer subsidizing...

 

[AZhappyjack]

so, if i'm paying 180 for 2 lines i'll have to add $40 a month per phone (if i choose to space it out)? or would my monthly bill be reduced (i'm actually grandfathered into an unlimited plan) because i'm no longer subsidizing...

You pay for the devices ON TOP of the cost of your service.

If you switch to the Mobile Share plan, you get a discount of $25/line for Next purchase or BYOD option...

And I have seen that AT&T is allowing you to cancel your contract without ETF... so not sure how that helps/affects your situation.

Also, VZW has started offering up to $650/line to switch from TMO and AT&T. The offering is to help with any ETF (see above) and any equipment change associated with the change.

 

[Fife321]

Whoa. seriously? i'm going to pay 45% MORE then i already am, FOR THE SAME SERVICE!?!?!

 

[Fife321]

wait. so i don't pay anything for my phone up front? just add $30 to my bill (per phone) for 24 months? so instead of being out of pocket $499 to start, THEN pay for subsidized phone. i just pay the added $30-40 to my bill? that seems more acceptable...

 

[rgarjr]

No, I don't think u pay anything up front. I think it mentions something about the phone taxes though.

 

[bufffilm]

You are correct. You can pay full price for the phone or pay in installments with their Next Plan.
In any case you will be paying full price for the phone. No more subsidized pricing.
Glad I was able to get the 2 year contract with subsidized pricing last year.
I'm creating my own Next Plan for my next iPhone. I started paying myself (savings account) in installments and will have the full price when ready to get my "Next" iPhone.

You mean to tell me that if you're an existing customer and are eligible for a new phone, that at&t no longer offers subsidized phones at all for their customers?

I thought they did away with subsidized phones for new customers only?

 

[AJsAWiz]

so, if i'm paying 180 for 2 lines i'll have to add $40 a month per phone (if i choose to space it out)? or would my monthly bill be reduced (i'm actually grandfathered into an unlimited plan) because i'm no longer subsidizing...

Yep, sounds about right. You'll have to add your Next installment payment to what you're paying already.
But if you buy the phone out right, the amount you pay should stay the same. As far as I know, nothing will be reduced at all.
Kind of sucks, doesn't it?

wait. so i don't pay anything for my phone up front? just add $30 to my bill (per phone) for 24 months? so instead of being out of pocket $499 to start, THEN pay for subsidized phone. i just pay the added $30-40 to my bill? that seems more acceptable...

However you will be paying the full price for your iPhone so, in the end, you will be paying more (than the the subsidized price). So, you are right. You won't be out of pocket for $499. You will be out of pocket for $499+ (full price, remember?)

You mean to tell me that if you're an existing customer and are eligible for a new phone, that at&t no longer offers subsidized phones at all for their customers?

I thought they did away with subsidized phones for new customers only?

Nope, there will be no subsidized phones for anyone starting on Jan. 8th. You can keep your 2 year contract/subsidized iPhone you already have. You just can't get any more subsidized iPhones.

 

[Tinmania]

No, I don't think u pay anything up front. I think it mentions something about the phone taxes though.

Yes, you pay sales tax up front on the full purchase price.



Mike

 

[uwdude]

A lot of people's monthly bills are going to start going way up with this new policy, unless people decide just to not upgrade or buy cheaper phones full price. Can you imagine a family of 4 with 4 subsidized iPhones, and they go to get the new ones and their bill will go up $120 a month for the phone payments, lol.

 

[Reno Raines]

I can't speak for AT&T but at T Mobile the prices for me went down as the cost for the service was separated from the cost of the phone. Once you pay your phone off then your cell phone bill goes down the amount you paid monthly. On a two year contract that never happened.

 

[bufffilm]

Nope, there will be no subsidized phones for anyone starting on Jan. 8th. You can keep your 2 year contract/subsidized iPhone you already have. You just can't get any more subsidized iPhones.

Thanks for confirming that...I went and Googled this a short while ago myself.

 

[AZhappyjack]

wait. so i don't pay anything for my phone up front? just add $30 to my bill (per phone) for 24 months? so instead of being out of pocket $499 to start, THEN pay for subsidized phone. i just pay the added $30-40 to my bill? that seems more acceptable...

AT&T will collect the sales tax (on the full price of the phone) upfront. Nothing beyond that, just make the payment.

 

[rockitdog]

NEXT, EDGE, Jump all suck!

You have 4 days to get a 2 year contract with AT&T!! Although, I have to wonder if there will still be ways around like there are with Verizon through 3rd party retailers.

 

[aneftp]

Really I don't like the "no contract ads". They clearly aren't pushing no contract. Heck for many of the promo to switch to ATT (like bogo, $200-300 credit etc). ATT requires me to sign up for ATT next.

I went and played devils advocate. Said I wanted to pay full price but they insisted I sign up for NEXT TO Get the full promos.

It's so freaking obvious they still want people on contract.....any contract. And ATT next equals "contract" to investors. Investors want to see consistent post paid "revenue".

I just wish the federal trade commission would stop carriers from advertising no contract when they are clearing pushing leading or financial "contracts" and in many cases require it to get full promo.

 

[AManInACan]

Really I don't like the "no contract ads". They clearly aren't pushing no contract. Heck for many of the promo to switch to ATT (like bogo, $200-300 credit etc). ATT requires me to sign up for ATT next.

I went and played devils advocate. Said I wanted to pay full price but they insisted I sign up for NEXT TO Get the full promos.

It's so freaking obvious they still want people on contract.....any contract. And ATT next equals "contract" to investors. Investors want to see consistent post paid "revenue".

I just wish the federal trade commission would stop carriers from advertising no contract when they are clearing pushing leading or financial "contracts" and in many cases require it to get full promo.

Be sure you aren't confusing a legal document "contract" with a contract commitment. The new way at all the carriers is to put you on a payment plan over 12-24 months to pay off the cost of the phone. You want out early? You can leave whenever - if you pay off the remainder of the cost of the phone. When the phone is paid off your monthly cost goes down. Does it save you much over the old way? Not really - unless you keep a phone for 3 or 4 years. Then it saves you hundreds. Does it give you flexibility you didn't have. Yes, it does. Leave anytime.

 

[Small White Car]

i just pay the added $30-40 to my bill? that seems more acceptable...

The per-line rate goes down too. I used to pay $40 per line when we were subsidized but now I pay $15 per line.

So, yes, I added $37.45 per phone line for the each NEXT phones*, but by saving $25 per line the bill only went up $12.45 per line.

Those are my numbers, if you don't spend as much as I do then your savings may be less. The point is that NEXT both adds and subtracts from your bill and you need to figure out what both numbers will be for you, personally, before you can make a decision.


* That's for 20 months, not 24, in case you're doing that math. I'm paying AT&T $749 for my phone, exactly the retail price for my model.

 

[Zwhaler]

Not me
I won't be "doing it"

I think they meant all (most) of the carriers are doing it.

 

[kargurin]

Be aware if you are a DirecTV customer you have a couple of perks to take advantage of.....$300 off if you sign up for Next and $200 off if you trade in a phone worth $10 or more resale.

 

[AustinIllini]

NEXT, EDGE, Jump all suck!

You have 4 days to get a 2 year contract with AT&T!! Although, I have to wonder if there will still be ways around like there are with Verizon through 3rd party retailers.

No. They really don't. Especially if you can get family members to go in with you.
The pay structure is completely different.

The per-line rate goes down too. I used to pay $40 per line when we were subsidized but now I pay $15 per line.

So, yes, I added $37.45 per phone line for the each NEXT phones*, but by saving $25 per line the bill only went up $12.45 per line.

Those are my numbers, if you don't spend as much as I do then your savings may be less. The point is that NEXT both adds and subtracts from your bill and you need to figure out what both numbers will be for you, personally, before you can make a decision.


* That's for 20 months, not 24, in case you're doing that math. I'm paying AT&T $749 for my phone, exactly the retail price for my model.

And the key is, when you pay off the phone, that extra pay, plus the $25 are wiped from the bill.

 

[aneftp]

Be sure you aren't confusing a legal document "contract" with a contract commitment. The new way at all the carriers is to put you on a payment plan over 12-24 months to pay off the cost of the phone. You want out early? You can leave whenever - if you pay off the remainder of the cost of the phone. When the phone is paid off your monthly cost goes down. Does it save you much over the old way? Not really - unless you keep a phone for 3 or 4 years. Then it saves you hundreds. Does it give you flexibility you didn't have. Yes, it does. Leave anytime.

Same can be said u can leave anytime on a traditional 2 year contract. Pay $325- $10/month to leave. It's just about the same as paying off a "equipment contract"

The thing is (especially with Verizon) is you can to go through so many hoops to bring ur own phone (even white listed Verizon phones) in order to try to get the advertised promo. Say their 18gb-$100 plus 2gb bonus data per line. In order to get the 2gb bonus data u must be on an equipment installment plan. Which is essentially forcing a "contract".

My gripe is they advertise "no annual contract". But in reality they want you in a contract. It's no secret. A financial contract is the same as a traditional contract.

And now that att has started adding $15 Next fees. And when interest rates start raising. I really expect att and other carriers to start charging financial interest fees as well.